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# Macroeconomics Canada Study Set 2

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## Quiz 9 : The Exchange Rate and the Balance of Payments

The lower the exchange rate, the
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E

If the exchange rate is 80 U.S.cents per Canadian dollar, then
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A

The law of demand for foreign exchange states that other things remaining the same,
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B

Foreign currency is
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Refer to the table below to answer the following questions. Table 9.1.1 -Refer to Table 9.1.1.Between 2016 and 2017, the dollar _______ versus the euro and _______ versus the yen.
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Currency depreciation is a reduction in the
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Suppose that the following situation exists in the foreign exchange market: 1 Canadian dollar buys $0.80 U.S, and 1 Canadian dollar buys 9 South African rand.How many U.S.dollars will one rand buy? Multiple Choice Answer: Suppose that the Canadian dollar exchanges for 0.80 U.S.dollars and also for 0.60 euros.A U.S.dollar exchanges for Multiple Choice Answer: Suppose that the following situation exists in the foreign exchange market: 1 Canadian dollar buys$0.80 U.S, and 1 Canadian dollar buys 5.0 Chinese yuan.How many yuan will \$1 U.S.buy?
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The exchange rate is the
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If the exchange rate is above the equilibrium exchange rate in the foreign exchange market,
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The law of supply of foreign exchange states that other things remaining the same,
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If the Canadian dollar depreciates, it means that
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The market in which the currency of one country is exchanged for the currency of another country is the
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Suppose that the following situation exists in the foreign exchange market: 1 Canadian dollar buys 7.2 Chinese yuan and 1 Canadian dollar buys 5.77 South African rand.How many yuan will one rand buy?
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The higher the exchange rate, all other things remaining the same, the
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